We’re starting to see a belief among some online entrepreneurs that MLM opportunities are dead.
The promise of long-term residual income is no longer there. People are jumping ship for other opportunities so fast that traditional MLM downlines are falling apart right and left.
Is there any truth to these beliefs? Let’s take a look at a couple of the comments we hear.
- people will continue to seek better deals, and this is only going to get worse
- continuous recruiting will become more necessary in order to keep the numbers up
Why are we seeing these things happening? Let’s look at how the dynamics have changed the nature of finding and keeping new distributors for our MLM opportunities.
Let’s talk about how MLM downlines were built in pre-Internet days. Most opportunity presentations were face-to-face local meetings, and if you signed up your sponsor was often someone you knew. It wasn’t unusual to have other friends you knew in the business.
In that day, something of a culture was created and it was easier to stay focused. There wasn’t a steady stream of new MLM opportunities at your fingertips all the time.
In MLM today, distributors are exposed to more new opportunities and greater temptation to switch to something else than ever before. It must be considered and dealt with.
Two things to help you address this:
- stay in touch with your downline and get to know them – build the relationship
- help them make money fast
Consider that last point. What do you think is the number one reason people jump from one business to another? I believe it’s a lack of making enough money to make it worth it. If you’re making respectable money from a business, or at least see your income steadily growing, you won’t be tempted to leave so easily.
Keep this in mind as a priority – help your new people to start making money right away. Most MLM opportunities have “fast start” bonuses for doing certain things. Focus on helping your new downline team members capitalize on those opportunities and start making some money as quickly as possible.
A third option–get involved with the VERY best programs. As you noted, many opps will come and go… The "blue chips", however, have staying power and meet your other criteria (fast earnings, etc).
Insightful post.
Yes, it is still attainable to live off residual income! The key is to get involved with the best mlm company with a strong and long baseline, as many mlm companies come and go!